Rubio previews tax reform plan at donor meeting

PALM BEACH, Fla.— Sen. Marco Rubio previewed for conservative donors Saturday a tax reform plan that he will roll out in the coming week with Utah Sen. Mike Lee.

The Florida senator, who has made clear to key supporters that he will run for president instead of reelection to the Senate, also told the Club for Growth donor meeting here that he would like to eliminate the U.S. Department of Education, shut down the Export-Import Bank and pass a detailed Obamacare alternative.

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Rubio said the bill he will introduce would reduce corporate tax rates from 35 percent to 25 percent, while eliminating both capital gains and dividend taxes. He said we will create parity between C and S corporations so that no S corporation pays more than 25 percent in taxes.

He and Lee will also propose creating two income tax rates, 15 percent or 35 percent, down from the seven brackets that exist now.

“It’s a flatter tax system,” Rubio told the well-heeled crowd at The Breakers Resort. “In an ideal world, it would be a simple one rate for everyone. Hopefully we’ll move in that direction as a nation. We think this is achievable in the short term.”

Rubio projected that his plan could grow the economy by 15 percent and wages by 13 percent over 10 years.

“If I got to start our country over from scratch, I would either have a flat tax or a consumption tax,” he said.

The sneak peek came at a dinner that drew Texas Sen. Ted Cruz and Louisiana Gov. Bobby Jindal, two other presidential candidates. Lee was in the audience, along with Pennsylvania Sen. Pat Toomey, Arkansas Sen. Tom Cotton, Alaska Sen. Dan Sullivan and Michigan Rep. Justin Amash.

Rubio spoke for 26 minutes and then took 18 minutes of questions.

Toomey, a former Club president up for reelection in 2016, warmed up the crowd for him.

Rubio, in turn, praised Toomey’s work running the Republican Steering Committee. He noted that Lee now holds the job.

“Mike Lee is now the skunk at the garden party, and he’s a pretty good skunk,” said Rubio.

One of the questions posed to Rubio was, “Can we get rid of the Bushes?”

The senator served in the state legislature when Jeb Bush, who addressed this crowd Thursday night, was governor.

“Gov. Bush is a person I admire tremendously,” said Rubio. “He’s a good friend … He’s going to be a very strong and formidable candidate. I think that if you’re a Republican … we should be very happy that we have six or seven very qualified people that are thinking about serving our country as president. The Democrats can barely pick up one.”

Rubio touted the new class of GOP senators. When asked how conservatives can elect more effective Republican leadership in the House and Senate, Rubio said that he can see Cotton, Sullivan, Nebraska Sen. Ben Sasse or Colorado Sen. Cory Gardner as future majority leaders or presidents.

“By the way, don’t report that I’m saying there’s going to be a coup next week and that Tom Cotton’s going to be the new majority leader,” Rubio said.

“Not a bad idea,” joked David McIntosh, the Club for Growth president, who was moderating the discussion.

“I don’t want to get Tom in trouble, I’m just saying,” said Rubio, “but I do believe that those are the seeds we’ve planted that over the next few years will bear fruit.”

Rubio also recognized Ron DeSantis, a Florida congressman, in the crowd at the speech. He said that the 36-year-old “has a phenomenal future” ahead of him.

Three bottles of water were set behind the podium, which he joked about at the top. The senator was accompanied by his daughter Amanda, and spoke of his father, a Cuban immigrant.

“I live a life where even my worst days are better than some of my father’s best days,” he said.